Pay Per Click

Internet Marketing:

Pay Per Click:

Pay Per Click or PPC is the new way to advertise on the internet. It means that you build an ad and place it on a website or search engine that you do not own or run. Each time someone clicks on that ad you owe the owner of the website or search engine a small fee.

The site owner will show your ads to their website visitors for a certain period or until your daily bid amount is reached. Since there are lots of companies willing to run ads similar to you. A bidding system takes place. You bid up how much you are willing to pay to have your ad shown before everyone else. In most cases your ads are shown along with other bidders. The highest bidder gets the first position. Lower bidders are still shown but not in first place until the higher bidder’s ads have all been shown for their daily budget.

Your ads will still be seen but not first.

Why would you use PPC ads?

PPC ads allow you to find new prospects for low cost. If you can offer a great Lead Magnet/Free product to collect their emails or contact information you can build a email list fast. Then promote your full line of services or products to this new list. If you have a good product and offer great value, you can build a great new list of customers using PPC ads.

PPC ads are a great way to test new product and service offers. You run sample tests on different websites to try to judge interest in your products and services.

If you just read the section on Search Engines than you will have seen multiple PPC ads. These are the little ads on the right side of the Search engine screens and at the very top of your search results.

The tops 4 search results are usually PPC ads that have bid to have their ad placed in that spot. You can spot them easily because the search engines put a little box on the top left side that says “Ad”. Google recently changed how they show search results. They removed the right-side ads. Other search engines still show ads all over their results pages

What is bidding for placement?

The ads you see are placed there because the owners of those ads have bid to have that ad placed in that spot.

The search engines are set up to allow marketers the right to place a bid for the advertising space on their search engine pages. The higher the bid the better your placement. If you are the highest bid, your ads are shown first until your budget runs out for that day.

Your ad is shown first or close to first if you are willing to pay the higher price for the space.

Google even helps you figure out the best starting bid

Based on the past history of the keywords you want to bid on. Google will give you an estimate of the cost to get into a top position so that your ads are seen first. You do not have to bid at this level but if you want to be in the top position then you will want to consider it.

The problem comes when you have a limited budget. If the cost of your keyword is high and you want to be in the top position you will quickly go through your daily budget.

When testing a new product, it can be beneficial to be the first ad. You get your results fast as to what the market thinks about your new product or service. Being the highest bid can be a benefit when testing. It is also beneficial when choosing to do a longer term PPC campaign.  There is some great information on using PPC advertising. Check our resource section for more information.

What is the Daily Budget?

Like any advertising campaign you need to have a budget. Once you establish the total budget you can then break it down to a weekly or daily amount.

Now you have a daily budget amount you can then see how long your campaign will run. Simply divide the total budget into your daily budget figure and you know will how many days your campaign can run.

Once you know your daily budget you can then figure out what the maximum bid price can be. Once you know that figure you can start bidding for placement.

Even a low bid will work

You do not have to be the highest bidder. Your ads will still be shown to qualified viewers just like the top bidders. The only difference is that your ads will begin to run once the higher bidders ads are shown first.

Each Search Engine can change this algorithm as well so please don’t start sending me messages that this definition is incorrect as its basis is correct.

If the search engine finds value in your website your ads may be shown before the highest bidder

Depending on the value of your information on your website you may find that your ads are shown at the same time as the highest bidder or in some cases before the highest bidder. The reason for this is because the search engine sees your site as being of real or better value than the advertisers. When this happens, they reward you with more traffic to your ads. A great reason to have a really valuable website that solves people problems and issues. The search engines rewards great value.

Search Engines pride themselves on trying to give you the best information relating to your keyword search

If you provide good solid information and Google or the others sees that lots of folks like what is on your site. Google will reward you with a higher placement on the search results.

So your ads, even though they may be the lower bidder can find themselves in a top position based on the content that you provide everyone that clicks on your ad.

PPC ads are very small and “to the point”

As you have seen, PPC ads are not very big and are normally Text based. This means it is a simple text ad with a live link that links to your website or landing page. This is where the person that clicked the ad will end up once they click your ad.

This is changing as Google bought Youtube and now image based ads or video is being shown first more often. Google now works hand in hand with Youtube. Keep this in mind when building your websites and ads. If you can use video ads or offer videos for your services or products, do so. you can store them free on Youtube and they get lots of traffic. Make them interesting and they can go viral with thousands of views. All these views can lead to your ads.

You will need to test your PPC ads. You just need to change the wording and run a new test. You can test the results on a daily or weekly basis. Many do it based on an hourly basis. It really depends on what you are selling and advertising.

Testing your PPC ads is important

You need to test all the time. You are looking for the one or two ads that give you the best results. Once you find them, use them as the “CONTROL AD” this is the best ad to date. You test all other ads against it. Once you find one that pulls better results it becomes the new CONTROL AD.

Set up your account with the search engine

If you have a website now or a sales page on the internet you can set up your new advertising account now. Simply go to Google or one of the other search engines and type in “How do I set up an advertising account with (the name of the search engine).

You will be directed to the instructions page and you can set up and account in just a few minutes. You can also learn even more about this in the resource section.

Learn to master PPC advertising and you can make some great profits

With all these technique, we talk about you can learn to make a large income if you are willing to take the steps to set up a system and then keep testing the results.

You can see instant results in short periods of time. This makes this type of marketing a very quick way to see if you have a winning product or service. Once you find a winner you can then adopt more marketing methods and use all the techniques we describe here at SMN